Minutes of the Board Metting on Friday 10th December 2004 at
Renaissance House, Warrington
Present:
Bryan Gray (Chairman)
Martin Harris
Pauleen Lane
Anil Ruia
Brenda Smith
Mike Storey
Maureen Williams
Joe Dwek CBE
John Dunning
Robert Johnston
Neville Chamberlain
Dave McCall
Marie Rimmer
Richard Leese
Also Present:
Steven Broomhead
Bernice Law (Secretary)
Peter Hensman - Observer
John Moverley - Observer
John Merry - Observer
David Brockbank - Observer
Helen France (63/06,63/07,63/10)
Peter White (63/05,63/08,63/09,63/13)
Ian Haythornthwaite (63/12)
Nick Gerrard (63/00)
Carmel Booth, KPMG (63/04)
Keith Barnes, GONW
63/00 PRESENTATION: DRAFT CORPORATE PLAN 2005/06 TO
2007/08
The Board received a presentation on the draft Corporate Plan from
Steven Broomhead, Chief Executive and Nick Gerrard, Head of Policy
and Performance, NWDA.
63/01 INTRODUCTION AND APOLOGIES FOR
ABSENCE
Apologies for absence were received from Dennis Mendoros.
63/02 MINUTES OF THE MEETING HELD ON 12 NOVEMBER
2004
These were approved as a correct record.
63/03 ACTION POINTS FROM LAST MEETING AND MATTERS
ARISING
There were no matters arising.
ITEMS WHICH REQUIRE A DECISION
63/04 PRESENTATION: OUTCOME OF THE KPMG REVIEW
OF ENTERPRISE AND INNOVATION, BUSINESS SKILLS NORTH WEST AND SKILLS
POLICY TEAMS
The Chief Executive gave a presentation on the review of the
Enterprise and Innovation, Business Skills North West and Skills
Policy Teams. He reported that the review had found the
services faced a number of critical issues, which needed to be
resolved to improve clarity of routes to market, roles and
responsibilities and governance structures. The Chief
Executive outlined three organisational options around:-
· Services
· Products
· Geography
He reported that these options had been considered against
agreed evaluation criteria and a preferred option identified.
This option involved merging Enterprise and Innovation, Business
Skills North West and Skills Policy Teams into a single directorate
with three broad areas of responsibility:-
· Science and Innovation
· International Business
· Business Support
63/05 UPDATING THE REGIONAL ECONOMIC
STRATEGY
The Board received a report, which laid out
the proposed approach to reviewing and updating the Regional
Economic Strategy (RES) and a broad timetable for the RES
Review.The Board requested that officers take cognisance of the
summer holiday period when undertaking consultation on the
document. It was noted that the Chairman intended to carry
out personal consultations with key stakeholders. The Board
requested consideration be given to the following additional areas
when the document was being formulated:-
· Social inclusion
· Environment
· Northern Way
· Sub Regional Partnerships (SRP’s)
63/06 LEA GREEN EMPLOYMENT SITE, ST
HELENS
Pauleen Lane and Marie Rimmer declared an interest in this item and
took no part in the discussions.The footnote to the report was
corrected as follows. The Chair of the Urban sub-group
approved the report for circulation to the Board.The Board
considered a report on the Lea Green Employment Site in St
Helens.
The Board were reminded that it approved an investment for
infrastructure costs for this site on 16 April 2004 on the basis
that English Partnerships would fully reimburse the Agency.However,
it was reported that to bring this site forward for redevelopment,
the Agency needed to acquire 1.06 hectares of land in the ownership
of a private sector developer to provide access to the
site.
Acquisition costs were required for this purchase, which would
be reimbursed by English Partnerships.It was also reported that
once this site comes within the Agency’s ownership, there is a
write down requirement within our accounts, the costs of which had
not previously been included.
The Board were minded to support this development and the
acquisition of the access strip, however were concerned about the
write down implications for the Agency and delegated responsibility
to the Chairman and Joe Dwek to look at other options and to act on
its behalf in this matter.
63/07 STONEBRIDGE BUSINESS PARK
Mike Storey declared an interest in this item and took no part in
the discussions.The Board received a report on Stonebridge Business
Park in North Liverpool.The Board approved additional funding to
increase its investment in this project. The additional
expenditure included for the installation of a new road bridge and
an enhanced road layout and environmental impact work.
The Board noted this investment would require DTI approval.The
Board also noted the scheme will attract a write down.
63/08 RENEWABLE ENERGY - POLICY
STATEMENT
The Board considered a report laying out a proposed policy
statement for renewable energy, which it was felt would help to
shape the regional and local planning framework.The Board were keen
to ensure that renewable energy objectives did not compromise key
tourism objectives identified in the Regional Tourism Strategy and
in approving the policy statement added to paragraph 4, which now
reads “In defining these broad locations, the Regional Planning
Body and the Section 4 (4) authorities should take a cautionary
approach and not propose areas where there may be a serious
conflict with strategic tourism development as identified in the
Regional Tourism Strategy.”
63/09 TRANSPORT PRIORITIES FOR THE REGENERATION AND
ECONOMIC DEVELOPMENT FOR THE NORTH WEST
The Chairman updated the Board on the Transport White Paper and
pilot projects on the formation of Transport Boards. He
emphasised the strong support from Government for regions to take
the lead on transport. The NWDA will present proposals on a
way forward for this region, supported by GONW and the NWRA -
integrating transport with other key issues such as housing.
The Board received a report, which presented the results of the
draft technical exercise on the ranking of transport priorities in
the region.The Board felt there was an opportunity in the RES to
identify those key transport projects in the region that would
reduce the economic disparity gap.The Board requested that the
Agency work with Halton Borough Council on the economic case for
the Second Mersey Crossing.
63/10 SUB REGIONAL PARTNERSHIPS
The Board received a presentation from the Executive Director,
Development and Partnerships on progress and timetable for the
development of Sub Regional Partnerships (SRP’s).The Board noted
progress on this matter and agreed the proposed Action Plan and
timescales outlined in the report.
The Board noted the proposed Memorandum of Understanding that had
been produced for use between the Agency and Sub Regional
Partnerships.The Board considered the role of Area offices and
agreed the emerging thinking on the future role of Area
offices. The Board noted that the Cumbria office was to
become a pilot for new ways of operating at sub regional level.
63/11 CHIEF EXECUTIVE’S REPORT
The report from the Chief Executive covered the following
issues:-
1 Regional Casinos
Richard Leese declared an interest in this item and took no part in
the discussions.The Board noted that the Agency, in partnership
with NWRA and GONW, had commissioned Pion Economics to assess the
economic potential of casino development in the North West, to
assist the NWRA in the development of a casinos policy, which will
support the RES, within the context of the emerging Regional
Spatial Strategy.
Board Members were also made aware of the announcement made on 17th
November by the Department of Culture, Media and Sport (DCMS) that
the number of new regional casinos allowed under the Gambling Bill
were to be restricted to 8 pilot schemes nationally, rather than an
unlimited number as originally planned. (DCMS has yet to confirm
whether the location of these 8 pilot scheme developments will be
decided at the regional or national level.)
It was noted that the Government had also stated that, in
parallel with future amendments to the Gambling Bill, it would
publish an overarching national policy statement to bring together
the requirements of gambling regulation and the roles of planning
and economic regeneration.It was also reported that the changing
legislation in respect of the Gambling Bill and the implications
for casino development in the North West would be reflected in the
above study.
2 Public Sector Study
The Board noted that one of the Regional Opportunities identified
in the current Regional Economic Strategy (RES) was to maximise the
impact of the NW public sector spend on the economy, skills and
employment opportunities in the region and that SQW consultants had
been commissioned to support this action, in partnership with GONW
and NWRA, and that their final report had been received.
“Turning Opportunities into Practice in the North West – Public
Sector Scoping Study”, which provided a strong basis on which to
develop an action programme with key partners.
The study highlighted the very significant role of the public
sector to the North West economy both in terms of GVA and
employment as follows:
· NW Economy £92.0bn per year
· NW public sector total expenditure £40.9bn per year
· Study focused on 5 types of public sector
organisations £24.7bn per year and 650,000 staff
Key recommendations included the creation of a strategic level
programme implementation and co-ordination group and proposals on
the following issues were noted:
· Procurement:
Proposals to help to drive scale economies, including measures to
increase public sector capability (closely linked to the Regional
Centre of Procurement);
· Procurement supply chain:
Proposed measures to increase the existing regional work with SMEs
to help maximise their capability;
· Availability of consistent and transparent, information:
Proposals to enhance information availability and exchange (e.g.
construction contracts) to enable greater access to data and good
practice;
· Addressing regeneration and inclusion:
Proposed measures to maximise employment and training through
capital projects, skills activities (e.g. NHS’ skills escalator
adoption by LAs and other public sector bodies).
The Board noted that to take forward the recommendations, the
Agency will establish an implementation group, to include
representation from NHS, GONW, NWRA, LAs, LSC Regional Director and
other appropriate key partners.A further report will be presented
to the Board in February 2005.
3 Freedom of Information Act
The Chief Executive confirmed that the Agency would be ready to
comply with the requirements of the Freedom of Information Act
which would come into force from 1 January 2005. The Chief
Executive reported that the Agency has:-
· Put in place a publication scheme (as agreed nationally with
other RDAs) to respond to the Act; and
· Established a working group, which has been remitted to ensure
that we are ready to comply with the Act.
It was noted that the Executive Director of Operations is the
Agency Champion in respect of the FOIA. A further report will be
presented to the Board in March 2005.
4 Regional Economic Forecasting Panel
Report
Following the September meeting of the Regional Economic
Forecasting Panel, a third edition of a compendium of detailed
contemporary statistics describing the state of the Northwest
economy was published in November. The Board noted the key points
of the report:-Home to 6.8 million residents, the Northwest is the
third largest UK regional economy, which generated just over 10% of
UK national income in 2002.
Northwest output in terms of GVA per resident head is roughly
10% below the UK. The Northwest has been growing relatively
strongly of late, but the output gap remains.Despite everything
done so far on regeneration, the Northwest has a relatively high
proportion of residents on income support and some serious pockets
of deprivation. Affecting participation, such pockets occur
in its core cities and in their peripheral areas where there has
been a significant decline in traditional manufacturing
employment.
On skills, the Northwest has a relatively high proportion of
residents without any formal qualifications. Also considerable
numbers of younger people have been moving beyond the Region,
particularly London, as well as towards its major cities. The
growth of higher education has played a part, as has the search for
career and lifestyle opportunities. Consistent with past
migration, London and the Southeast show significantly higher
levels of enterprise than the Northwest. Survey evidence also
points to more entrepreneurship among younger people in the South
than is typically found in the Northwest.
Relatively low levels of capital investment, apart from
capital-intensive manufacturing, bear on the region’s productivity
performance as well as its attractiveness as a place to live and
work. A relatively high proportion of expenditure on R&D in
manufacturing may point to strengths in innovation in the
Region. However, following the pattern of national spending
on R&D, this is likely to be concentrated in relatively few
sectors, including pharmaceuticals. Also on innovation, businesses
already making effective use of ICT appear to be located especially
in districts in the semi rural south of the Northwest. Helped by
commuters’ incomes, these districts have also tended to attract
higher skills, and new employment in financial and other
services.
5 Appointment of Executive Director, Enterprise
Policy
Board members noted that following an assessment centre and formal
interview process, (interview panel consisted of the NWDA Chairman,
NWDA Chief Executive and Board Member Joe Dwek) Mark Hughes had
been appointed to the above vacancy.
63/12 FINANCE REPORT
The Director of Finance and Corporate Resources reported on the
Agency’s financial position at 31 October 2004 and gave an analysis
on spend against major projects, URC’s and SRB programmes.The Board
noted the current financial situation on resource and programme
spend.The Board requested that the analysis of spend on major
projects should become a regular item in the Finance Report, along
with a Schedule of Delegations approved by the Chief Executive and
Executive Directors.
63/13 QUARTERLY PERFORMANCE MONITORING
REPORT
The Board noted the content of the Quarterly Performance Monitoring
Report (July to September 2004) which had been sent to GONW on 26
November 2004.
63/14 CHAIRMAN’S REPORT
The Board noted the Chairman’s report and agreed the actions
proposed.
63/015 REPORT OF THE NWDA SUB GROUPS
The Board noted the reports of the NWDA Sub Groups.
63/16 BOARD MEMBERS FEEDBACK
The Chairman paid tribute to the work and support of John Dunning,
Neville Chamberlain, Richard Leese and Dennis Mendoros as NWDA
Board Members at their last Board meeting. He thanked them
for the contributions they had made to the work of the Board and as
representatives and advocates for the region.The Chairman welcomed
the new Board members, David Brockbank, John Merry, Peter Hensman
and John Moverley.The Board were updated on contractual issues with
Digital Industries North West.
DATE AND TIME OF THE NEXT BOARD MEETING
1.30 p.m. on Friday, 14 January 2005. The meeting finished at
12.02.